<h1>New Health Score for NBFCs and HFCs Aims to Predict Liquidity Crises, Enhance Financial Resilience, and Guide Policy Decisions.</h1> A new Health Score has been developed for the Non-Banking Financial Company (NBFC) and Housing Finance Company (HFC) sectors to provide early warnings of liquidity crises. This score evaluates Rollover risk, including Asset Liquidity Management, interconnectedness, and financial resilience. The Economic Survey 2019-20 highlights its reliability in predicting financial health, noting a decline in the Health Score for HFCs post-2014 and consistently low scores for Retail-NBFCs. The score can help policymakers prevent liquidity issues, optimize capital allocation, and set prudential funding thresholds, thereby mitigating adverse economic impacts like those from recent NBFC defaults.